Intel

Shares of Intel advanced following a Bloomberg report that Apollo Global Management has offered to make a multibillion-dollar investment in the company. The stock was up 2.7% at $22.45 in premarket trading. When the market closed Friday, shares had fallen more than 56% since the start of the year but gained 3% during the trading day after The Wall Street Journal reported that Qualcomm had approached Intel about a takeover. Citing unnamed sources, Bloomberg reported on Sunday that Apollo had indicated interest in investing as much as $5 billion in Intel. Intel executives are weighing Apollo’s proposal, though the size of the potential investment could change and discussions could fall apart, according to the report.

By Claudia Assis Intel Corp. has hired advisors, including those with Morgan Stanley, to help defend the company against potential shareholder activism, CNBC reported late Friday. The report cited people familiar with the matter, who asked not to be identified due to confidentiality. Intel (INTC) and Morgan Stanley (MS) did not immediately respond to requests for comment from MarketWatch. Intel shares were holding to a 1% advance in after-hours trading Friday, after ending the regular session up 2.2%. The stock has seen steep losses recently, however. It is down nearly 70% this year as the company struggles to find its footing in the new AI landscape dominated by rival Nvidia Corp. (NVDA), and earlier this month posted a $1.6 billion quarterly loss. See also: Intel has sold its stake in Arm after a big rally for the chip-design stock It was unclear Friday whether Intel was under new activist pressure,

Intel is canceling its Intel Innovation conference for the year after two weeks in the spotlight for all the wrong reasons. The chip giant’s stock plunged last week after its sales fell short of analyst expectations, and it said it planned to lay off about 15,000 employees. The company’s decision to replace the conference with “smaller, more targeted events” appears to be part of its urgent attempt to cut costs as Chief Executive Pat Gelsigner tries to right the ship.

Intel (INTC)’s senior unsecured rating was downgraded by Moody’s to BAA1 from A3 rating over apprehensions about the chipmaker’s profitability, Reuters reported Thursday citing the credit ratings firm. Moody’s also changed Intel’s unsecured ratings outlook to negative from stable, while affirming the company’s Prime-2 short-term commercial paper rating, the report said. Moody’s said that it expects Intel to face much weaker profitability over the next 12 to 18 months, according to Reuters.

Intel Corp (NASDAQ:INTC) has made headlines with its recent announcement of significant restructuring and disappointing quarterly earnings. The tech giant reported earnings of just 2 cents per share, falling dramatically short of the analyst consensus estimate of 10 cents. This represents a staggering 84.62% decrease from the same period last year. Intel’s response includes a major $10 billion cost-reduction plan aimed at streamlining operations and reducing headcount by over 15%, with the majority of cuts expected by the end of 2024. Additionally, the company will suspend its dividend starting in Q4 2024. Analysts are reacting with a mix of skepticism and cautious optimism. Here’s how key industry voices are interpreting the latest developments. BofA Securities analyst Vivek Arya downgraded the stock to Underperform with a price target of $23, down from $35. Cantor Fitzgerald analyst C.J. Muse maintains a Neutral rating with a revised price target of $27, down from

Downgrades of Intel keep coming as its latest quarterly results showcase its ongoing struggles. Vivek Arya and Duksan Jang, analysts at BofA Securities, say in a research note that the chip-maker’s IDM structure isn’t equipped to simultaneously compete against rivals including Nvidia, Advanced Micro Devices and Taiwan Semiconductor Manufacturing. They also list a lack of competitive AI accelerators that continues to reduce relevance to critical cloud customers and the suspension of its dividend that could make its stock less attractive to some investors. The analysts lower their price objective to $23 from $35 and downgrade their rating to “underperform” from “neutral.”

Intel Corporation (NASDAQ:INTC) shares are falling on heavy volume Friday after the company posted worse-than-expected second-quarter results. The Details: Intel missed analysts’ expectations with quarterly sales of $12.83 billion, a 0.9% decrease year-over-year and earnings of 2 cents per share. The company also suspended its quarterly dividend beginning in Q4 and announced a $10 billion cost-reduction plan that it says will include a headcount reduction of greater than 15%. Intel guided for a loss of 3 cents per share in the third quarter. “Our Q2 financial performance was disappointing, even as we hit key product and process technology milestones. Second-half trends are more challenging than we previously expected, and we are leveraging our new operating model to take decisive actions that will improve operating and capital efficiencies while accelerating our IDM 2.0 transformation,” said Pat Gelsinger, Intel CEO. Analysts React: Raymond James downgraded Intel from Outperform to Market Perform, and

Intel (INTC) updated its Q2 outlook after the US Commerce Department notified the company Tuesday that it was revoking certain licenses for exports of consumer-related items to a customer in China, effective immediately. As a result, the company now expects Q2 revenue to remain in the original range of $12.5 billion to $13.5 billion but below the midpoint, according to a regulatory filing. For full-year 2024, Intel continues to expect revenue and earnings per share to grow year over year versus 2023.

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We lower our 12-month target to $35 from $45, on P/E of 16x our ’25 EPS view, below peers to reflect lackluster AI prospects. We cut our ’24 EPS to $1.07 from $1.45 and ’25 to $2.20 from $2.40. INTC posts Q1 2024 EPS of $0.18 vs. -$0.04, beating the $0.14 consensus. Revenue rose 9%, slightly below consensus, as 31% growth in Client Computing and 5% boost in Data Center and AI was partly offset by declines across all other segments (Foundry -10%). Q2 guide was a disappointment in terms of both revenue ($13B vs. $13.6B consensus) and gross margin (43.5% vs. 45.4% view), but cites a stronger ramp in the 2H. We find INTC’s inability to gain momentum disturbing despite strong cloud customer spend, while its

The following is a summary of the Intel Corporation (INTC) Q1 2024 Earnings Call Transcript: Financial Performance: Intel reported a Q1 revenue of $12.7 billion, with a YoY growth of 9%. The quarter witnessed a gross margin of 45.1%, surpassing the guidance by 60 basis points. The company’s EPS stood at $0.18 for the quarter, exceeding the guidance by $0.05. Operating cash flow was recorded as negative $1.2 billion. The company anticipates stronger sequential revenue growth throughout the year and into 2025. Intel predicts peaking of costs in 2024, with revenue improvements in Q3 and Q4 that will help lift gross margins in the second half. The company projects better gross margin rates in 2025 than in 2024, targeting mid-50s margins midway between now and 2030, with an ultimate aim of 60%. Business Progress: Intel announced Microsoft as its fifth Intel 18A customer, with another meaningful customer signed on. Intel

Intel’s (INTC) Q2 financial outlook “left a lot to be desired,” with revenue seen only rising modestly and margins projected to fall meaningfully on a sequential basis, Wedbush Securities said Friday. Late Thursday, the technology giant said it expects Q2 non-GAAP earnings of $0.10 per share on revenue of $12.5 billion to $13.5 billion. Analysts polled by Capital IQ expect EPS of $0.11 on revenue of $13.22 billion. Intel’s outlook contrasts with its previous estimate for sequential improvement through the course of the year, Wedbush analyst Matt Bryson said in a note. “In addition, we believe some incremental color that Intel provided on the call was less compelling than might have been hoped for.” The brokerage lowered its price target on the Intel stock to $32.50 from $40.00 while keeping its neutral rating. The company’s shares were down more than 8% in recent trading.

Intel Reports First-Quarter 2024 Financial Results NEWS SUMMARY — First-quarter revenue of $12.7 billion, up 9% year over year (YoY). — First-quarter GAAP earnings (loss) per share (EPS) attributable to Intel was $(0.09); non-GAAP EPS attributable to Intel was $0.18. — Forecasting second-quarter 2024 revenue of $12.5 billion to $13.5 billion; expecting second-quarter EPS of $(0.05); non-GAAP EPS of $0.10. SANTA CLARA, Calif.–(BUSINESS WIRE)–April 25, 2024– Intel Corporation today reported first-quarter 2024 financial results. “We are making steady progress against our priorities and delivered a solid quarter,” said Pat Gelsinger, Intel CEO. “Strong innovation across our client, edge and data center portfolios drove double-digit revenue growth in Intel Products. With Intel 3 in high-volume production, leading-edge semiconductors are being manufactured in the U.S. for the first time in almost a decade and we are on track to regain process leadership next year as we grow Intel Foundry. We are confident